Are monthly housing costs cheaper in Arizona for renters or homeowners? It depends

PHOENIX – Is it cheaper to rent or own a home? In Arizona, it depends on where you live, according to a new study.

SmartAsset analyzed the cost of housing in 342 of the nation’s largest cities, including 14 in Arizona, to determine whether renters or homeowners were shelling out more each month for their living arrangements.

For homeowners, the study looked at mortgage payments, insurance, taxes, common utilities and HOA fees. For renters, it took rent payments and utility costs into account.

The study didn’t take into account down payments and closing costs associated with buying a home.

Where in Arizona do homeowners spend less each month than renters?

The Grand Canyon State results were split evenly, with homeowners spending less in seven cities and renters having the edge in seven.

In fact, the West Valley suburb of Surprise had the lowest homeowner-to-renter housing cost ratio in the nation, with homeowners on average spending $1,789 a month and renters paying $2,110.

On the other side of Maricopa County, San Tan Valley had the nation’s second-lowest homeowner-to-renter housing cost ratio, with homeowners on average spending $1,791 a month and renters paying $2,091.

Monthly homeowner costs were also less expensive than rental costs in Buckeye ($1,785 for homeowners/$1,930 for renters), Gilbert ($2,100/$2,181), Chandler ($1,922/$1,974), Tempe ($1,746/$1,792) and Goodyear ($1,958/$1,977).

Where is it cheaper to rent than to own?

Meanwhile, renting was cheaper than owning each month in the following cities (in order of the largest homeowner-to-renter housing cost ratio):

• Yuma: $1,484 average homeowner costs/$1,194 average rental costs.
• Tucson: $1,447/$1,183.
• Scottsdale: $2,527/$2,140.
• Phoenix: $1,795/$1,655.
• Mesa: $1,826/$1,695.
• Glendale: $1,642/$1,550.
• Peoria: $1,877/$1,837.

Newark, New Jersey, where homeowners spend almost twice as much as renters ($2,641 to $1,341) each month, had the nation’s highest ownership-to-rental cost ratio.

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